) reported fourth quarter 2012 earnings of $81.8 million or $1.67
per share compared to $94.3 million or $1.94 per share in the
year-earlier quarter. Quarterly earnings were well ahead of the
Zacks Consensus Estimate of $1.00 but it lagged on a
year-over-year basis. Excluding one-time items such as pension
expense and debt charges, earnings in the reported quarter were
$2.27 per share compared to $2.22 in the year-ago quarter.
AMDOCS LTD (DOX): Free Stock Analysis Report
EBIX INC (EBIX): Free Stock Analysis Report
TECH DATA CORP (TECD): Free Stock Analysis
UNISYS (UIS): Free Stock Analysis Report
To read this article on Zacks.com click here.
For full year 2012, the company reported a net income of $129.4
million or $2.84 per share compared to $120.5 million or $2.71
per share in the previous year. Reported earnings for the year
excelled the Zacks Consensus Estimate of $2.20. Excluding
one-time items, earnings for full year 2012 were $5.50 per share
compared to $5.18 in the year-ago period.
Total revenue for fourth quarter 2012 decreased 1% year over year
to $979.3 million. However, on a constant currency basis,
revenues were flat year over year. Despite the continued
challenging macroeconomic environment, Unisys recorded strong
sales of its ClearPath software and servers. Total revenue for
the reported quarter surpassed the Zacks Consensus Estimate of
For full year 2012, Unisys witnessed a 4% year-over-year decline
in total revenue to $3.71 billion. On a constant currency basis,
revenues dipped 1% year over year. The decrease in total revenue
for the year was primarily attributable to lower revenues from
the Services segment.
segment, revenues plummeted 4% year over year (3% on a constant
currency basis) to $805.7 million as order signings decreased
significantly. Total services backlog at year-end 2012 was $5.1
billion, representing an 8% dip from the year-ago period.
segment revenues increased 16% year over year to $173.6 million
as ClearPath software and servers registered strong sales in the
On a geographic basis, international revenues increased 6% in
fourth quarter 2012, which offset a 10% dip in the U.S. revenues.
However, on a constant currency basis, international revenues
surged 7% driven by a strong performance in Europe and Latin
America, which was partially offset by a decline in Asia Pacific.
Balance Sheet/Cash Flow
Cash generated by operating activities totaled $154 million in
the fourth quarter of 2012 compared to $159 million in the
year-ago quarter. Capital expenditures incurred were $36 million
in the reported quarter versus $33 million in the prior-year
quarter. This in turn resulted in a free cash flow of $118
million for fourth quarter 2012.
During the quarter, Unisys eliminated all its remaining
high-interest debt as part of its debt reduction program by about
75% from Sep 2010 levels. Since 2008, the company has reduced its
debt burden by $1 billion, bringing its year-end 2012 tally to
$210 million. Cash and cash equivalents at the end of the year
were $655.6 million.
Management was encouraged with the margin improvement in the
company's technology business, continuously improving service
quality, and the early achievement of its debt reduction goal
targeted for 2013.
However, the macroeconomic conditions continue to be challenging
for Unisys, which competes with industry bigwigs like
Tech Data Corp.
), each carrying a Zacks Rank #2 (Buy). Unisys presently has a
Zacks Rank #3 (Hold).